Agenda - Council - 07/23/1991 - Laserfiche WebLink

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! I I ! I i I I i I I ! I I I I i I ! CASE INTRODUCTION OF ORDINANCE AMENDING 7.61 CHARITABLE GAMBLING AND 7.62 BINGO WITHIN THE CODE OF ORDINANCES By: Ryan R. Schroeder, City Administrator Background: Under State Statute 349.213 Subdivision 1, (B), a statutory or home rule city may by ordinance require that a licensed organization conducting lawful gambling within the jurisdiction spend all or a portion of its expenditures for lawful purposes on lawful purposes conducted or located within the city's trade area. Such an ordinance must define the city's trade area and must specify the percentage of lawful purpose expenditures which must be expended within the trade area. A trade area defined by a city under the subdivision must include each city contiguous to the defining city. Under Subdivision 1, (C), such provisions must apply equally to all forms of lawful gambling within the jurisdiction of the political subdivision. Under (A) a city also has the authority to require an organization to make specific expenditures of up to 10% of their net profits derived from lawful gambling to a fund administered and regulated by the local unit of government. Currently the City of Ramsey ordinances do not provide for either of the above. In checking ordinances of neighboring cities, the City of Dayton has provisions as currently exist in the City of Ramsey. Elk River requires that 75% of the yearly net profits are spent within the Elk River trade area which includes Elk River. Ramsey, Otsego, Rogers and Zimmerman. However, they have a statement of purpose within their ordinances that it is the policy of the Council that to the extent lawful regulated gambling is permitted for the benefit of the citizens of Elk River. In the City of Anoka, the applicant must spend 10% of its net profits within the City of Anoka unless the organization can show that it spent an equivalent or greater sum for the benefit of citizens of the City within the preceding year without such Council designation. The City of Coon Rapids requires 10% of the net profits be directly benefitting the citizens of Coon Rapids. The determination of whether any particular expenditure qualifies as benefitting the citizens of Coon Rapids is made by the City Council. Attached for your review and consideration are ordinance amendments which are offered to amend our existing ordinances to require that profits from gambling operations be spent within the Ramsey trade area. Council Action: Motion to introduce Ordinance #91-XX entitled Introduction of Ordinance Amending 7.61 Charitable Gambling and 7.62 Bingo within the Code of Ordinances, refer to Budget Committee for review, direct to staff to notify licensed organizations conducting charitable gambling and direct that ordinance 4/91-XX be reviewed by the City Attorney as to form. Review Checklist City Administrator Police Chief Administrative Services Coordinator Finance Officer CC: 07/23/91 #7 /o5